Federal Way fire officials, commissioners regroup after failed bond

Two-and-a-half percentage points.

Two-and-a-half percentage points.

Whether it was a special election, lack of voter turnout, a “con” committee statement, another Proposition 1 or that voters simply can’t afford the $53.7 million bond, the cause of the failed South King Fire and Rescue measure is unknown at this time.

But its failure to reach a 60 percent supermajority doesn’t mean that money is not still needed, fire commissioners said on Tuesday.

In a special meeting held at Fire Station 68, every commissioner but Mark Freitas attended the 9 a.m. regroup as he was out of town.

“There’s no doubt that what was in that $53 million is what we thought we would need for the next 20 years,” said chair Bill Gates. “We didn’t come up with a solid list of $30 or $40 million and then say, ‘OK, let’s add another $10 million’ and see if the voters will vote for it. It was all things we absolutely needed.”

The proposed 20-year general obligation bond would have cost taxpayers who own a house costing $250,000, $6.50 a month or $78 a year.

And it would have replaced technical equipment, facilities and vehicles, as well as fund construction of an additional fire station and a new fleet maintenance shop.

To figure out a way to fulfill those needs, South King Fire and Rescue Chief Allen Church presented the commission a list of several options for the future.

These options include:

1. Place the $53 million bond on the November 2015 ballot

Church said November elections nearly always have the highest voter turnout. This election is also expected to garner more votes because of the 30th Legislative District race between Rep. Carol Gregory and Teri Hickel. The deadline to file for this election is on Aug. 4.

2. Place the $53 million on the August 2016 ballot

Because Sound Transit is expected to put “ST3” on the ballot in November 2016, Church said August 2016 will allow the district to avoid having two measures on the ballot that both ask for a tax increase. Additionally, he pointed out February is typically a time when school districts seek funds.

3. Reduce the amount of the bond to $30 million and put it on the November 2015, April or August 2016 ballot

Reducing the amount of the bond to cover the aid cars, earthquake seismic upgrades and other needs will cover costs temporarily, Church said. Ultimately, $53 million is what will set the district up for the next 20 years.

4. Consider a second limited term general obligation bond

An general obligation bond only requires board approval, which will “take care of things immediately.” About $6 million of a $13 million general obligation bond will go toward paying off the first bond with the rest to pay for the most-needed capital improvements.

5. Request grant money from the state

Church said requesting money from the state is expensive as rates are competitive and the district would be expected to pay the first year.

6. Consider a lease/purchase program

A lease or purchase program is available for engine, aid and training vehicles, however it would come out of the district’s general revenue stream.

7. Issue a bond but cease their maintenance and operations levy, which will expire after 2016

The maintenance and operations levy is a four year, $3.5 million a year levy that runs out after 2016. Church said if citizens are truly strapped financially, the board can decide to run a bond instead of the maintenance and operations levy.

This allows the district to use general revenues on regular things like operational costs instead of capital, which a portion is allotted.

“The growth in the community over the last two years hasn’t made up for the 30 percent loss we had in our revenue, which the [maintenance and operations] levy intended to replace,” Church said. “So we’re still going to be a little short but if the community says we can’t afford any increase at all, let’s at least get the bond issued and get the public the same affective levy rate and not do a [maintenance and operations] levy.”

Church said citizens would essentially be paying the same amount as they do now.

After the options were presented, all of the commissioners present voiced support for putting the $53 million bond on the November 2015 ballot, however, there won’t be a final decision until July.

Gates and commissioner John Rickert pointed out the district was in danger of losing the Class II department status if a bond isn’t passed, while commissioner Mark Thompson was concerned about how much more money the district would have to spend because the bond wasn’t passed this time around.

“We budgeted so much money to run an election and now we’re going to have to run two,” Thompson said. “The delay is going to have an increase on our bond rating and it could be more than half a percent, we don’t know.”

Not to mention building costs associated with a delay, he said.

But Rickert and Thompson were both opposed to taking out loans to pay off other loans and nearly all agreed there should be more communication with the community if they do decide to run the bond again this November election.

“I think the citizens have shown their support for the fire department with a 57 [percent] majority vote on this issue and I think that if they understand that they need to get out and vote,” Rickert said. “We only lost this by a few hundred votes.”

At least two commissioners focused on the perceived false information surrounding the bond and the statement the “con” committee made that was published on the ballot.

“There’s a lot of misinformation out there, people thinking it’s gonna pay salaries and what have you with it and that’s not the case,” Thompson said. “You can’t do that. State law says you can’t do that, it’s got to be for capital improvements only.”

He added that the “fear mongering” is killing the fire district and is essentially wasting citizen’s money.

“It has to stop,” Thompson said.

Vice chair James Fossos agreed.

“This is real life, people’s lives are at stake and I think some of the irresponsible critics that came after us, some of the things that they stated were incredulously deceptive,” Fossos, a former firefighter, said. “You cannot go to a fire or an aid unit event or a rescue without having the proper apparatus to get there. You can’t put people on skateboards or tricycles and respond to a fire. I think it’s offensive what some of these people that run the con committee put out there and they’re irresponsible and cause a lot of damage to not only themselves but their effort to improve the type of quality service our citizens have come to respect.”

Federal Way resident Matthew Jarvis, who wrote the con committee statement for the measure, said it was “pathetic” the South King Fire and Rescue Board is “blaming 200 hastily written words in the voter’s pamphlet as the reason 7,500 people voted no to this levy [sic].”

“Instead of looking for solutions to a 20-plus year losing streak, they are making excuses for yet another of their failures,” Jarvis said. “Apparently, the immaturity that led to them suing commissioner Freitas for staring at people is a systemic issue and not just a one-time event. It is terrifying to think that these same men are responsible for the safety of our community.

“As for their sad claims that the voter’s pamphlet was deceptive, I dare any commissioner to meet me for a public debate over the merits of my claims versus theirs. Maybe then South King Fire and Rescue will finally address why they spend $200,000 a year on pet projects instead of firefighter safety.”

However, the South King Fire and Rescue fire district hasn’t run a bond since 1992 — this is their first in more than 20 years.

“This is very progressive for us when we are thinking about the future needs, future needs of the citizens that we represent,” Fossos said at the meeting. “It’s very frustrating to work as hard as we do and as hard as we have to watch the chief put his lifeblood into this department and to see a few people talk about a fire engine going to a grocery store.”

Fossos added that the department responds to an emergency call about every 31 minutes, 24 hours a day. Last year, they responded to 17,600 emergency calls.

South King Fire and Rescue officials project a population increase in the district, which serves Federal Way, Des Moines and parts of unincorporated King County. Emergency calls have increased by about 14 percent since 2010 and they estimate the trend will continue past 2020.

Throughout the years, the fire department has transferred operating revenues from the general fund into a capital reserve account to fund the various equipment, apparatus and facility needs.

But, according to firefighter officials, the recession caused their capital reserve system “to be used only as absolutely necessary” and they experienced a 30 percent annual reduction in property tax revenue.

Before any decisions are made about rerunning the bond, Church said there will likely be another special meeting with the board of fire commissioners in late June or early July, as well as an opportunity for a Citizen Advisory Team to convene.